System and method for processing securities trading instructions and communicating order status via a messaging interface

• US 9,672,566 B2
• Filed: 12/23/2013
• Issued: 06/06/2017
• Est. Priority Date: 07/30/2004
• Status: Active Grant

• Current Assignee: Chicago Mercantile Exchange, Inc. (CME Group Incorporated)
• Original Assignee: Pivot Solutions Inc. (CME Group Incorporated)
• Inventors: Shen, Richard, Keen, Thomas R.
• Primary Examiner(s): KIM, EDWARD J
• Application Number:
  US14/138,418
• Publication Number:
  US 20140108231A1
• Time in Patent Office: 1,261 Days
• Field of Search: 709204-207, 709217-219, 705 37
• CPC Class Codes: G06Q 30/0283 Price estimation or determination
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A system allowing traders, etc. to use instant messaging (IM) (or other non-FIX based) communications to input trading instructions directly into a broker'"'"'s Order Management System (OMS) for managing/executing trades. Accordingly, trading instructions may be provided electronically directly from a buy-side trader, and directly to a sell-side broker'"'"'s/brokerage'"'"'s OMS, without the need for the sell-side broker to manually re-key the order into the sell-side firm'"'"'s OMS. Further, trading instructions are provided in electronic format directly to the broker'"'"'s OMS without the need for the buy-side trader to have an expensive FIX based OMS or associated FIX connection, which is also expensive, thereby allowing relatively smaller investment houses/buy-side organizations to enjoy the benefits of electronic delivery of trading instructions directly to brokers'"'"' OMS.

Claims

1. A method comprising:

receiving an electronic message including free-form natural language textual content;

scanning the electronic message for trading instruction keywords;

parsing at least one trading instruction keywords from the electronic message;

determining, via a processor, whether the free-form natural language textual content includes any words from a predetermined set of trading instruction keywords or lacks any words from the predetermined set of trading instruction keywords;

forwarding the electronic message to an intended recipient device in response to the free-form natural language textual content not including any words from the predetermined set of trading instruction keywords, wherein the intended recipient device is the intended recipient for the electronic message; and

forwarding the electronic message to an order device of an order management system (OMS) in response to the free-form natural language textual content including one or more words from the predetermined set of trading instruction keywords.

2. The method of claim 1, wherein the order device is an order management system.

3. The method of claim 1, wherein the predetermined set of trading instruction keywords includes at least two of buy, sell, limit, edit, cancel, and algorithm.

4. The method of claim 1, wherein the free-form natural language textual content is one or more sentences.

5. The method of claim 1, further comprising:

identifying a command word from the free-form textual natural language content; and

parsing the free-form natural language textual content for a tradeable object identifier associated with the command or a quantity value associated with the command.

6. The method of claim 1, further comprising:

generating a request message when the free-form textual natural language content lacks for a tradeable object identifier associated with the command or a quantity value associated with the command.

7. The method of claim 6, further comprising:

sending the request message to a sending device associated with the electronic message.

8. The method of claim 1, wherein the predetermined set of trading instruction keywords includes a plurality of synonyms for a trading instruction.

9. A apparatus comprising:

a network interface device in an order management system for communicating via a communications network and configured to receive an electronic message including textual content;

a processor configured to scan the textual content and determine whether the textual content includes any words from a predetermined set of trading instruction keywords or lacks any words from the predetermined set of trading instruction keywords, the processor further configured to parse any included words of the predetermined set of trading instruction keywords from the textual content;

wherein the processor is configured to send the electronic message to an intended recipient device in response to the free-form textual content not including any words from the predetermined set of trading instruction keywords, wherein the intended recipient device is the intended recipient for the electronic message, and

wherein the processor is configured to send the electronic message to an order device in response to the free-form textual content including one or more words from the predetermined set of trading instruction keywords.

10. The apparatus of claim 9, wherein the order device is an order management system.

11. The apparatus of claim 9, wherein the predetermined set of trading instruction keywords includes at least two of buy, sell, limit, edit, cancel, and algorithm.

12. The apparatus of claim 9, wherein the textual content is one or more sentences.

13. The apparatus of claim 9, wherein the processor is configured to identify a command word from the free-form textual content, and parse the free-form textual content for a tradeable object identifier associated with the command or a quantity value associated with the command.

14. The apparatus of claim 9, wherein the processor is configured to generate a request message when the free-form textual content lacks for a tradeable object identifier associated with the command or a quantity value associated with the command.

15. The apparatus of claim 14, wherein the network interface device is configured to send the request message to a sending device associated with the electronic message.

16. The apparatus of claim 9, wherein the predetermined set of trading instruction keywords includes a plurality of synonyms for a trading instruction.

17. A non-transitory computer readable medium including instructions that when executed are configured to perform a method including:

receiving an electronic message including free-form natural language textual content;

scanning the electronic message for trading instruction keywords;

parsing at least one trading instruction keywords from the electronic message;

determining, via a processor, whether the free-form natural language textual content includes any words from a predetermined set of trading instruction keywords or lacks any words from the predetermined set of trading instruction keywords;

forwarding the electronic message to an intended recipient device in response to the free-form natural language textual content not including any words from the predetermined set of trading instruction keywords, wherein the intended recipient device is the intended recipient for the electronic message; and

forwarding the electronic message to a second device of an order management system (OMS) in response to the free-form natural language textual content including one or more words from the predetermined set of trading instruction keywords.